Mylan announces half-price generic alternative to EpiPen

In further response to pressure from lawmakers and the public, Mylan Pharmaceutical announced this week that one of its U.S. subsidiaries will launch a generic version of its EpiPen emergency allergy treatment. The generic will command half the price of the brand-name version, and comes on the heels of an expansion of savings programs that were implemented to make the drug more affordable.

The authorized generic will be identical to the branded product, including device functionality and drug formulation. Mylan expects to launch the product in the next several weeks, pending completion of labeling revisions. The product will be available as a two-pack carton, with versions containing 0.15 and 0.30 mg of epinephrine, which is used to quickly treat the severe allergic reaction known as anaphylaxis. Anaphylaxis can include swelling of the tongue or throat, shortness of breath and a rash.

[Also: EMS crews in New York State drop EpiPen in lieu of lower-cost option]

Mylan has drawn scrutiny for price hikes that saw the cost of a two-pack of EpiPens bloat from $100 to $600. The EpiPen, which cost $57 in 2007, contains about $1 worth of epinephrine.

In a statement, Bresch said the decision to launch a generic alternative "is an extraordinary commercial response, which required the cooperation of our partner. However, because of the complexity and opaqueness of today's branded pharmaceutical supply chain and the increased shifting of costs to patients as a result of high deductible health plans, we determined that bypassing the brand system in this case and offering an additional alternative was the best option."

[Also: Hillary Clinton, lawmakers call on Mylan to reverse the price hike on EpiPen]

Several lawmakers, including U.S. Sen. Richard Blumenthal, D-Conn, had written letters to Bresch imploring the company to scale back the price increases. Democratic White House hopeful Hillary Clinton also entered the fray, saying on her Facebook page that "it's wrong when drug companies put profits ahead of patients, raising prices without justifying the value behind them."

In a previous statement, Mylan had said the EpiPen's price "has changed over time to better reflect important product features and the value the product provides," adding, "We've made a significant investment to support the device."

[Also: Mylan offers EpiPen coupon after public backlash over price hike]

But days later, in an apparent about-face, Mylan said on its website that it was reducing the cost of its EpiPens through a savings card which will cover up to $300 for the two-pack. For patients who were previously paying the full amount of the company's list price for EpiPen, this effectively reduces their out-of-pocket cost by half. The company is also doubling the eligibility for its patient assistance program, which it said will eliminate out-of-pocket costs for uninsured and underinsured patients and families.

Both the augmented patient assistance program and the $300 savings card announced last week will remain in place for the brand product. The $300 My EpiPen Savings Card acts as cash at the pharmacy.

Twitter: @JELagasse